The Importance of Principle

It is unfortunate that principle is not emphasized more in learning, business, and life. Principles applies not just to academic pursuits, but they apply equally well to business and life. Principles can serve as guides that provide insight for understanding how something works like motion, weight, mass, or concentration. However, they can also provide a very useful framework for making decisions. Moreover, principle and principles can be a “moral compass,” or just a compass that provides an easily understandable anchor. And, depending on the validity of the principle, principles can help to avoid problems, complications, risk, and unnecessary cost. How to chose an appropriate spouse for example, can either be a hit-or-miss/trial-and-error affair–and in this case it may never be “right.” Or, the choice of a marital partner can be made by internalized principles or character that looks instead toward the an individual’s fundamental values versus how pretty he or she looks. The principled approach is the one that the The Shinsei Method™ strongly advocates. ‘Shinsei’ is derived from the Japanese to mean life-principle for this reason. ‘Shin’–principle; ‘Sei’–life. Following principle in thinking, acting, and deciding is less costly, more productive, more efficient and consequently more effective in the long run. Therefore, the Shinsei Method™ also emphasizes the long term in its approach.

Since there is a strong cultural trend to emphasize the short term in spending, behaving, and decision making, everything is affected. Employees including senior managers spend much less time at individual companies so that loyalty, dedication, and commitment are weak. This is a practical example of a trend toward short term commitment on the part of companies and on the part of employees. The general attitude has shifted from a secure feeling of commitment to a company (a community, a family, or a nation), to one of “what’s in it for me and what do I get out of it.” This is not to imply that self-interest is unimportant. Self-interest is very important.  The trend is a matter of perspective, philosophy, and attitude.  It is not a matter of self-interest to the exclusion of everything else and everyone else, but a matter of wellbalanced self-interest.  Balanced against what?  Long term goals.

For example, an individual employee (or family member for that matter) can make choices and take actions that benefit himself or herself yet hurt no one else.  Or, that individual can make choices and take actions that dismiss the impact to anything else.  The latter tends to be much more common these days.  The best example of this is the idea of “collateral damage” as if people are not actually killed.  While it is true that there are always unintended casualties in war–one very good reason to avoid war if at all possible–it is also true that casualties are not trivial matters.  The trend toward short term thinking and “collateral damage” trivializes important matters not just in war, but in business as well.  Terminating people is not a trivial matter.  Hiring people is not a trivial matter.  There are many important considerations for both, and are best considered very carefully.  Whether managers consider this carefully or like “collateral damage” is a function of philosophy, attitude and principle. The Shinsei Method™ and the Shinsei Advantage™ recognizes that building principles into character and perspective is more profitable in the long run; the Shinsei Method™ recognizes that a long term perspective is more profitable on many levels in the way it defines profit and profitability.  For example, prudence, caution, and balance are long term oriented principles.  Prudent business practices are more carefully thought out, less costly, more efficient, less risky, etc.  This is demonstrated in things like credit scores and insurance rates.

Choices made in context or to exclusion of everything else, can both be considered ‘self-interest.’  The first is constructive and long term.  The second is dismissive (like “collateral damage”) and short-term oriented:  me and now is the only consideration.  This mentality is more costly, less effective, less efficient, and not really self-interested.  This is the point many fail to observe about self-interest.  Self-indulgence is really not self-interested.  It may be nice for the moment, but the consequences are usually much more severe than people want to accept.  This is another reason that many people seek to pass those unpleasant consequences to someone else so that they get the benefit and none of the cost.  This is the short term mentality to the extreme, and again it is most unfortunate that this mentality has become much more acceptable today.  When put in these terms the short term/collateral damage mentality is not very appealing.  This is one reason this mentality tends to concealed. It is an immature, undesirable, and unprofitable mentality.

We want to emphasize with the Shinsei Method™ and at the Shinsei Institute of Training and Development ™ that the “me-only” mentality is not necessary.  Most people know that this mentality is undesirable.  However, few “experts” ever mention that self-interest is not necessarily or logically equivalent to self-centeredness.  This is the gross mistake that people often make, and it highlights the extreme importance in clearly defining and understanding terms like “self-interest.”  This does not only apply to businesses, it also applies to individuals on every level.

Ultimately it boils down to perspective:  short term versus long term.  If attitudes and ideas tend to be long term oriented, that will produce long term results that are constructive and favorable to all parties concerned.  In the very least long term oriented actions will not seek to make situations worse.  The most important question is:  what constitutes a long term perspective?  Here is where concepts are convoluted.

Often the idea of the long term is conflated with things like altruism, duty, conformity, etc. which obliterate self-interest in favor of the group.  This then becomes what many people understand to be “self-interest.”  It is not.  It is group-interest, which is meaningless and most people know that intuitively.  For example, many companies seek total employee loyalty with the idea that employee interests and company interests are the same.  They are not.  Company interests and employee interests are complementary however.  Seeing work and business in this way, requires a particular philosophy, attitude and perspective.   If a company creates an unstable, insecure, and fearful environment with an undercurrent that anyone can be fired at anytime for just about any reason, it is absurd to then expect employee loyalty.  Even if employees wanted to be loyal under such conditions, they could not.  It is not psychologically possible.  It was this observation among others that motivated the creation of the Shinsei Institute of Training and Development ™ and the Shinsei Method™.

This observation highlights the importance of concepts and terms.  It also shows what kind of impact attitudes and philosophy have on practices.  Practices define culture.  One of the objectives of the Shinsei Method™ is to encourage managers and individuals consciously and conscientiously to strive to define their culture through their everyday attitudes and practices.  Another goal of the Shinsei Method™ is to provide a reference, a model, a guide, a way-point or a compass for shaping those everyday practices and attitudes.  Ultimately attitudes shape action; and action defines culture.  Action is the most potent form of communication.

Messages are always communicated by action.  Messages communicated through action are the strongest.  Yet, many managers and individuals pay much more attention to verbal forms of communication.  Very little attention is paid even in school to principles especially the consistency of principles.  However, consistency determines trustworthiness, reputation, brand, etc.  Since trustworthiness is crucial to these important elements of business, it seems reasonable that educators particularly business educators would spend far more time on how trustworthiness is developed and communicated.  They do not, which is another reason the Shinsei Method™ was created.

Consistency is established when words and action match.  When words and action match, it also fosters trustworthiness.  It is a simple idea, yet many businesses spend a great deal of time, money, and resources in marketing only.  Marketing is a form of verbal communication not action. Final products and services are forms of action.  Based on the Shinsei Method™, the most effective way then to communicate a desirable brand is to ensure quality in product and service.  That will communicate the kind of brand and reputation that companies tend to favor.  However, this perspective is a function of long term values and principles.  Short term oriented thinking would focus primarily on marketing to communicate a message like brand.  The point that is overlooked for some reason, is that marketing can never effectively communicate brand.  Eventually people will have to buy a product or service and if the company does not deliver on their promise, that is the end of that.  Long term oriented thinking would favor developing durable, long-lasting, high-quality products as the primary means to communicate brand.  Again, which perspective dominates is a function of principle.  This is an example of how the Shinsei Method™ works.

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